Capital Home Loans Conveyancing Panel Information

Capital Home Loans’s answer to this question can be found at section 6.4.4 of their CML Part 2 requirements

The CML, together with Capital Home Loans and other stakeholders developed a standard set of requirements where a solicitor is representing a lender such as Capital Home Loans alone in a residential conveyancing transaction. These obligations are contained at Part 3 of the UK Finance Lenders’ Handbook and are to be followed in conjunction with Sections One and Two. The CML have published an example requirements letter to the borrower’s conveyancer for use by the lender's conveyancer, and sets out to the borrower's conveyancer, the documentary and information requirements of the lender's panel conveyancer.

In order to be on the Capital Home Loans conveyancing panel solicitors have to complete an application form and agree Terms and Conditions. A sample of 5 conditions that we see amongst many lenders Terms (but not necessarily Capital Home Loans) are as follows:

• That any deeds you borrow from us in connection with the personal mortgage of a partner or director at your firm must be requested by a partner or director other than the partner or director concerned and the transaction must be handled by that other partner or director. If you are a sole practitioner and require the loan of deeds in connection with your own mortgage, you must nominate a different firm on our panel to request the deeds and handle the transaction.
• Without prejudice to your obligation to comply in full with the Safeguards provisions in the CML Lenders’ Handbook, to report to us as soon as possible any suspicion that you have about the genuineness of any transaction in any respect.
• To be responsible for the reconstitution of the title deeds (whether the title is registered or unregistered, at your own cost), where any deeds in your possession, or were last known to be in your possession, go missing.
• You have the consent of all borrowers to apply for the deeds, before making any request for deeds. We will accept your request for deeds on the understanding that you have obtained such consent. If this is not the case then you should advise our Deeds Services Department in writing when you make your request
• To keep us informed of the reasons for any delay in your being able to send the title deeds and documents we require to us within 3 months of completion or evidence of proof of registration within that period. (We will send reminders if the deeds have not been received but will not acknowledge receipt of deeds.)

When a solicitor is acting for both Capital Home Loans and borrower there is potential for conflicts to arise. You owe duties to both clients. All information received by you from your client is confidential and cannot be disclosed without the client’s consent. In the situation you find yourself in if the purchaser will not consent to the information being passed on to the lender the solicitor must cease to act for the Capital Home Loans and it may well be prudent you to cease to act for the purchaser as well. You can not tell the Capital Home Loans the reason for termination of the retainer over and above the fact that a conflict has arisen. The fact that you can no longer act should alert even the most somnambulistic of lenders that something is wrong with the borrower and/or purchase. The fact that you have disinstructed yourself should not affect your Capital Home Loans conveyancing panel status.

Your insurance brokers are your best port of call to address this question. The chances are that on the basis that you have not been removed for fraud or negligence reasons that there will be little or no impact. The main reason why a firm would be removed off of a lender panel is due to low volume of conveyancing cases although there may be a number of criteria for Capital Home Loans solicitor panel membership. Please remember that it is always important that you complete your insurance forms accurately.

You should communicate with Capital Home Loans to obtain standard documents. The The Council of Mortgage Lenders Handbook includes an express section for banks to set out who to contact to obtain standard documents. Capital Home Loans in their Part 2’s state: Don’t forget to disclose your Capital Home Loans solicitors panel number.